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Sikhulekelani Moyo, [email protected]

OPERATING as an un-registered small and medium enterprise for close to four years, hiring machinery and with a workforce of four, Bulawayo-based furniture firm — KMAc Investments — is reaping the benefits of formalising the venture as it is now supplying an assortment of furniture to huge corporates, handling orders above US$20 000.

KMAc Investments was formed in 2013 by Mr Killian Machingambi after resigning from a company that had relocated to Harare.

The furniture company produces hardwood products for the local market including hotels, hospitals and several companies.

Mr Machingambi operated KMAc Investments until 2017 when he registered the entity. Over the years, the company, which operates at the old Cold Storage Company premises in Belmont, has gained market confidence and attracted big corporates in the process benefiting from various Government-driven SMEs loans.

Mr Machingambi shared his journey with Business Chronicle.

“I once worked for Dura World Products and rose through the ranks from general worker to the managerial level. I then moved to House of Teak rising to be the branch manager from 2009 to 2013,” he said.

House of Teak later relocated to Harare and that was when Mr Machingambi resigned and this gave birth to the idea of setting up his firm.

“I realised that there was an opportunity for me here in Bulawayo to serve the Bulawayo market and that was when I resigned at House of Teak and started my own company,” he said.

“Through experience and working for big companies, I had exposure to some of the people who were already in the industry and I started hiring machinery from them.

“Gradually, as people gained confidence in us, we started getting huge orders from huge companies such as Mimosa and Grain Marketing Board (GMB).”

Last year, Mr Machingambi said he expanded his business and invested in a sawmill, which is now producing planks for the production of all furniture products at the same time supplying other companies.

“In 2023 we registered our sawmill here in Bulawayo so that we can cut our costs. By doing so, I reduced the cost of our products so that they become competitive and we succeeded,” he said.

“From the sawmill side, we also sell timber to companies in Harare. So, now I’m making money from supplying raw material and I’m making money from the finished products.

“In terms of working capital, we have been working with the Small and Medium Enterprises Development Corporation (SMEDCO) and it has been very friendly to us. I urge SMEs to register their companies so that they can access loans from the Government.”

SMEDCO is a development finance institution, which primarily exists to promote the development of micro, small and medium enterprises and co-operatives in the country, through lending and capacity building.

Mr Machingambi said after accessing loans, SMEs should develop a culture of paying back so that the fund can be used to assist other SMEs.

“When people get loans from the Government, they tend to think that it’s not important to pay it back, but that money is used to assist the next person, so let’s pay back loans,” he said.

KMAc Investments has grown from employing four people and it is now operating with 12 workers. Mr Machingambi said they are presently working on three orders from local hotels and a private hospital adding that they have the capacity to supply the order, which is between US$20 000 and US$35 000 without getting any deposit from the clients.

Guided by the National Development Strategy 1 (NDS1) and the National Micro Small and Medium Enterprises Policy (2020-2024), Zimbabwe has over the years been implementing a number of programmes and projects to spur the growth of small businesses.

The programmes include improving the legal and regulatory environment, management and technical skills development, access to modern production technology, market development and trade promotion, workspace development and SMEs financial support, among others.